Broadridge Financial Solutions, Inc. · NYSE:BR

Broadridge Financial Solutions — Q1 FY2018 Earnings Presentation

15 slides from Broadridge Financial Solutions's earnings presentation, Nov 8, 2017

  1. Slide 1: Earnings Webcast & Conference Call First Quarter Fiscal Year 2018

    1 © 2017 | Earnings Webcast & Conference Call First Quarter Fiscal Year 2018 EXHIBIT 99.2

  2. Slide 2: Forward-Looking Statements

    © 2017 | Forward-Looking Statements This presentation and other written or oral statements made from time to time by representatives of Broadridge Financial Solutions, Inc. ("Broadridge" or the "Company") may contain “forward-looking statements” within the meaning of the Private Securities Litigatio

  3. Slide 3: Use of Non-GAAP Financial Measures

    © 2017 | Use of Non-GAAP Financial Measures Explanation and Reconciliation of the Company’s Use of Non-GAAP Financial Measures The Company’s results in this presentation are presented in accordance with U.S. generally accepted accounting principles ("GAAP") except where otherwise noted. In certain c

  4. Slide 4: Highlights and First Quarter 2018 Financial Summary

    © 2017 | Highlights and First Quarter 2018 Financial Summary  Strong first quarter 2018 financial results • Recurring fee revenue growth of 6% to $548 million • Strong Operating Income Growth · Operating income up 28% to $84 million · Adjusted Operating Income up 30% to $106 million - margin increa

  5. Slide 5: Business Update

    © 2017 | Business Update  ICS recurring revenues up 3% • 13% growth in Other ICS led by data-driven products • 6% increase in regulatory communications recurring revenue driven by 9% mutual fund/ETF interim record growth • 1% decline in customer communications revenue due to expected decline at BRC

  6. Slide 6: First Quarter 2018 Revenue Growth Drivers

    © 2017 | First Quarter 2018 Revenue Growth Drivers ▪ First Quarter 2018 Recurring fee revenue grew 6% to $548 million ▪ First Quarter 2018 Total revenue grew 3% to $925 million $925 M +3% +2% -3% 0% $895 M $517 M $548 M +6% -3% +1% +1% +6% +3% Organic Growth: 5% 6 Note: Amounts may not sum due to ro

  7. Slide 7: Strong Growth in GAAP and Adjusted Operating Income and Adjusted EPS

    © 2017 | Strong Growth in GAAP and Adjusted Operating Income and Adjusted EPS $ in millions, except per share amounts Year-over-Year Change in Operating Income and Adjusted Operating Income Year-over-Year Change in EPS and Adjusted EPS +30% +28% 7 +50% +50% Note: 1Q 2018 EPS and Adjusted EPS include

  8. Slide 8: Segment Results

    © 2017 | ($ in millions) Investor Communication Solutions ("ICS") 1Q 2017 1Q 2018 Change Recurring fee revenues $329 $340 3% Event-driven fee revenues $37 $59 58% Distribution revenues $357 $334 (6)% Total revenues $723 $733 1% Earnings before income taxes $33 $44 35% Pre-tax margins 4.5 % 6.1 % Glo

  9. Slide 9: Capital Allocation and Summary Balance Sheet

    © 2017 | Capital Allocation and Summary Balance Sheet Select Uses of Cash in First Quarter 2018 Summary Balance Sheet as of September 30, 2017 Assets Cash and cash equivalents $ 289 Other assets 2,936 Total assets $ 3,225 Liabilities and Stockholders' Equity Total debt outstanding $ 1,292 Other liab

  10. Slide 10: Fiscal Year 2018 Guidance

    © 2017 | Fiscal Year 2018 Guidance Recurring fee revenue growth 4 - 6% Total revenue growth 2 - 3% Operating income margin - GAAP ~14% Adjusted Operating income margin - Non-GAAP ~16% Diluted earnings per share growth* 15 - 19% Adjusted earnings per share growth* - Non-GAAP 15 - 19% Free cash flow*

  11. Slide 11: Closing Summary

    © 2017 | Closing Summary  Strong first quarter results • 6% recurring revenue growth • 50% growth in Adjusted EPS to $0.54  On track to achieve financial guidance for fiscal year 2018 • 4-6% recurring fee revenue growth • 15-19% EPS growth  Continued momentum in Closed sales highlighted by strong

  12. Slide 12: Appendix

    © 2017 | Appendix 12

  13. Slide 13: Reconciliation of GAAP to Non-GAAP Measures

    © 2017 | Reconciliation of GAAP to Non-GAAP Measures $ in millions, except per share amounts Three Months Ended September 30, 2017 2016 Operating income (GAAP) $ 84.4 $ 66.0 Adjustments: Amortization of Acquired Intangibles and Purchased Intellectual Property 19.4 12.8 Acquisition and Integration Co

  14. Slide 14: Reconciliation of GAAP to Non-GAAP Measures - FY18 Guidance

    © 2017 | Reconciliation of GAAP to Non-GAAP Measures - FY18 Guidance (Unaudited) Adjusted Earnings Per Share Growth Rate (1) (2) Diluted earnings per share (GAAP) 15% - 19% Adjusted earnings per share (Non-GAAP) 15% - 19% Adjusted Operating Income Margin (3) Operating income margin % (GAAP) ~14% Adj

  15. Slide 15: Broadridge Investor Relations

    © 2017 | Broadridge Investor Relations W. Edings Thibault Investor Relations Tel: 516-472-5129 Email: edings.thibault@broadridge.com 15

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